Q: Is it common for an industry to ramp up slowly when presented with a new opportunity in China, as companies invest in new production processes, logistics and relationships?
A: Yes. China is a big unknown for many exporters, with an emphasis on both “big” and “unknown.” It has nearly 400 million people in its cities, spending a third of their income on what Goldman Sachs likes to call “eating better.” But with a different business culture and market structure than what many exporters are used to, it can be hard to get oriented.
At Novam Portam, we work with a lot of companies and organizations across the Americas that look at the Chinese market, see the potential, but do not know where to start. Whether we connect them with a local partner in China or help them identify and develop a client base, our clients need to make the business case for entering the China market, and do so with a deliberate pace that allows them to address logistics and relationship needs.